New Issue: China Development Bank branch prices RMB 2.8 billion of notes due 2027, 2029

By William Gullotti

Buffalo, N.Y., April 24 – China Development Bank Hong Kong Branch sold RMB 2.8 billion notes in equal parts due 2027 and 2029 under its $30 billion debt issuance program established with China Development Bank, according to an offering circular with appended pricing supplements on Wednesday.

Both tranches (expected: A+) priced at par, with the 2027 notes carrying a 2.45% coupon and the 2029 notes carrying a 2.6% coupon.

Bank of China (Hong Kong) Ltd., China International Capital Corp. Hong Kong Securities Ltd., China Securities (International) CFC Ltd., CLSA Ltd., DBS Bank Ltd., Industrial and Commercial Bank of China (Macau) Ltd., HSBC Ltd., ABCI Capital Ltd., Agricultural Bank of China Ltd., Hong Kong Branch, Bank of China Ltd., Bank of Communications Co., Ltd., Hong Kong Branch, BNP Paribas, China Citic Bank International Ltd., China Construction Bank (Asia) Corp., Ltd., China Everbright Bank Co., Ltd., Hong Kong Branch, China Galaxy International Securities (Hong Kong) Co., Ltd., CMBC Securities Co., Ltd., CMB Wing Lung Bank Ltd., CNCB (Hong Kong) Capital Ltd., Crédit Agricole CIB, Huatai Financial Holdings (Hong Kong) Ltd., Industrial and Commercial Bank of China (Asia) Ltd., Industrial Bank Co., Ltd., Hong Kong Branch, Mizuho Securities Asia Ltd., MUFG Securities Asia Ltd., Nanyang Commercial Bank, Ltd., Natixis, Nomura Singapore Ltd., Oversea-Chinese Banking Corp., Ltd., Shanghai Pudong Development Bank Co., Ltd., Hong Kong Branch and Standard Chartered Bank are the joint lead managers and joint bookrunners, with Bank of China (Hong Kong), China International Capital, China Securities, CLSA, DBS, Industrial and Commercial Bank (Macao) and HSBC also acting as joint global coordinators for the dual-tranche syndicated offering.

Proceeds will be used by the branch for working capital and general corporate purposes.

Listings for both tranches of Regulation S notes are expected on the Hong Kong exchange effective April 24.

The issuer is a subsidiary of Beijing-based China Development Bank.

Issuer:	China Development Bank Hong Kong Branch
Amount:	RMB 2.8 billion
Issue:	Notes
Bookrunners:	Bank of China (Hong Kong) Ltd., China International Capital Corp. Hong Kong Securities Ltd., China Securities (International) CFC Ltd., CLSA Ltd., DBS Bank Ltd., Industrial and Commercial Bank of China (Macau) Ltd., HSBC Ltd., ABCI Capital Ltd., Agricultural Bank of China Ltd., Hong Kong Branch, Bank of China Ltd., Bank of Communications Co., Ltd., Hong Kong Branch, BNP Paribas, China Citic Bank International Ltd., China Construction Bank (Asia) Corp., Ltd., China Everbright Bank Co., Ltd., Hong Kong Branch, China Galaxy International Securities (Hong Kong) Co., Ltd., CMBC Securities Co., Ltd., CMB Wing Lung Bank Ltd., CNCB (Hong Kong) Capital Ltd., Crédit Agricole CIB, Huatai Financial Holdings (Hong Kong) Ltd., Industrial and Commercial Bank of China (Asia) Ltd., Industrial Bank Co., Ltd., Hong Kong Branch, Mizuho Securities Asia Ltd., MUFG Securities Asia Ltd., Nanyang Commercial Bank, Ltd., Natixis, Nomura Singapore Ltd., Oversea-Chinese Banking Corp., Ltd., Shanghai Pudong Development Bank Co., Ltd., Hong Kong Branch and Standard Chartered Bank
Trustee:	China Construction Bank (Asia) Corp., Ltd. (as fiscal agent, paying agent, transfer agent, calculation agent, CMU lodging agent and registrar)
Counsel to issuer:	Linklaters (Hong Kong, England), Legal Dept. of China Development Bank (China)
Counsel to dealers:	Clifford Chance (Hong Kong, England), King & Wood Mallesons (China)
Call:	At any time for taxation reasons at par plus interest
Pricing date:	April 16
Issue date:	April 23
Listing date:	April 24
Expected rating:	S&P: A+
Distribution:	Regulation S
2027 notes
Amount:	RMB 1.4 billion
Issue:	Notes, series 121
Maturity:	April 23, 2027
Coupon:	2.45%
Price:	Par
Yield:	2.45%
ISIN:	HK0001007498
2029 notes
Amount:	RMB 1.4 billion
Issue:	Notes, series 122
Maturity:	April 23, 2029
Coupon:	2.6%
Price:	Par
Yield:	2.6%
ISIN:	HK0001007506

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